Which Statement About Nominal and Real GDP Is Incorrect

question 214

Multiple Choice

Which statement about nominal and real GDP is incorrect?

• A) Real GDP per person is a better measure of standard of living than nominal GDP per person.
• B) Nominal GDP includes products and services produced within a country's borders, no matter what the nationality of the business doing the producing.
• C) Real GDP is measured as a flow.
• D) Nominal GDP is measured as a flow.
• E) If nominal GDP is higher this year than last year, there must be positive economic growth.

Compare the concepts of equality of opportunity and equality of condition within the context of American values.

Comprehend the nature, formation, and significance of public opinion in democratic societies.

Assess the role of gender, class, race, and religion in shaping political attitudes and opinions.

Identify the philosophical and practical underpinnings of ideology within American political thought.

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Definitions:

Receivable Contract

An agreement where one party has the right to receive a payment or series of payments from another party.

Discount Rate

The interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows.

Compounded Monthly

A calculation method where interest is added to the principal balance on a monthly basis, resulting in interest on interest.

Equal Payments

A series of payments that are the same in amount, typically made at regular intervals over a specified period of time.